Novo vs Lili for an LLC: simple banking or built-in admin help?

Novo and Lili both aim at small businesses that want online business banking without a branch-heavy bank. For an LLC, the better choice depends on whether you want a clean checking account first, or banking wrapped with tax, invoice, and accounting features.

Checked against Novo, Lili, SBA, IRS, and FDIC pages on September 5, 2026.

The short answer

Novo is easier to understand as a straightforward small-business checking account. Its business checking page emphasizes no monthly fees, no minimums, no transaction limits, invoicing, payment visibility, reserves, standard ACH, incoming wires, and integrations with tools like Stripe, Square, and QuickBooks.

Lili is closer to an all-in-one small-business finance app. Its public banking page and disclosures mention banking through Sunrise Banks, paid plans for accounting, tax preparation and invoicing software, savings APY, cashback eligibility on paid tiers, cash deposit limits and retailer fees, international wire availability for legal entity customers, and a clear warning that Lili does not provide tax, legal, or accounting advice.

That makes the rough split simple: choose Novo if you want simple business checking and clean payment flow. Consider Lili if you specifically value built-in admin tools and are comfortable comparing paid tiers.

Novo vs Lili at a glance

Where Novo makes sense

Novo's strongest case is simplicity. Its business checking page says there are no monthly fees, no minimum balance, and no transaction limits. It also describes free standard ACH, incoming wires at no cost, domestic wires, vendor payments, invoices, automatic payment reminders, and Novo Reserves for setting aside money inside the account.

For a single-member LLC, freelancer LLC, small agency, or ecommerce operator, that may be enough. You mainly need a separate place for business income, a way to receive payments, a debit card, statements, and exports or integrations that make bookkeeping less painful. Novo is strongest when you already use separate bookkeeping or tax software and just want the bank account to stay out of the way.

The tradeoff is that simple is not the same as complete. If you want your banking app to also help with tax buckets, accounting reports, built-in tax preparation features, or business-credit add-ons, you may end up adding other tools anyway.

Where Lili makes sense

Lili's strongest case is the bundle. Its disclosures say the Core banking account has no monthly fee, while monthly fees apply to Pro, Smart, and Premium. They also say accounting, tax preparation, and invoicing software are available to Smart and Premium account holders, with monthly account fees. Lili also notes that its reports can help with accounting, but final categorization for tax purposes is the customer's responsibility.

That positioning can work for an owner who wants fewer separate apps. A solo consultant LLC, creator LLC, or small services business may like having banking, invoices, expense categories, and tax-oriented reporting close together. The key is to compare the plan you would actually use, not the free headline. If the feature you care about sits behind a paid tier, price it against separate software.

Lili's cash deposit and international wire disclosures are also worth reading. It says cash deposits have a per-cardholder daily limit and retailers may charge fees. It says international wire transfers are only available to legal entity customers, can be made to and from select countries, and fees apply.

The LLC setup order still matters

The SBA says you should open a business account as soon as you start accepting or spending money as your business, and that common documents include an EIN, formation documents, ownership agreements, and sometimes a business license. The IRS says that if you are creating an LLC, form it through the secretary of state before applying for an EIN. The IRS also says you never have to pay a fee for an EIN.

In plain English: form the LLC first, get the EIN, then apply for the account. If you are a one-owner LLC, some tax rules may treat you as a disregarded entity by default, but banks still commonly want business documents. Do not wait until customer payments are already landing in a personal account if you can avoid it.

FDIC wording is not decoration

The FDIC says deposit insurance protects insured deposits if an FDIC-insured bank fails, and that coverage is automatic for covered deposit accounts at insured banks. With fintech business accounts, the partner-bank wording tells you where the banking services come from and how deposit insurance is described.

Novo says deposits are FDIC insured through its partner bank, Middlesex Federal Savings, F.A., Member FDIC. Lili says it is not a bank and that banking services are provided by Sunrise Banks, N.A., Member FDIC. For ordinary operating balances, that may be fine. For unusually high balances, client funds, payroll reserves, or regulated activity, read the current account agreement and ask a qualified professional before relying on a casual comparison.

Which should you choose?

Choose Novo if you want business checking that is easy to understand, low on recurring fees, and focused on payments, reserves, and integrations. Choose Lili if you want banking tied more closely to invoicing, tax organization, accounting-style reports, and paid admin tools.

Do not choose either account only because it is online or cheap. Make sure it supports your LLC type, owners, address situation, industry, cash needs, payment processors, bookkeeping process, and expected balance. If you deposit cash often or want a lending relationship, a local bank or credit union may still deserve a look.

Bottom line

Novo is the cleaner simple-checking pick. Lili is the more bundled small-business-finance pick. The right LLC account is the one that keeps business money separate, records clean, and fees easy to understand.

Sources

• Novo: Business checking
• Lili: Business banking
• SBA: Open a business bank account
• IRS: Get an employer identification number
• FDIC: Deposit insurance